The change notice allows users to identify investments that are being added to, or removed from, a plan’s investment offerings and to identify funds that have been “frozen” and are no longer accepting participant contributions, according to the announcement. Users can also specify the date and time when each change will go into effect.
Where a fund is being removed, the communication can indicate to which fund participant balances will be transferred in the absence of any investment direction by the participant. For newly added funds, performance information is included.
Newkirk President Peter Newkirk said in a press release the change notice can be generated as a self-mailer or a PDF for inclusion on a company’s Web site. He noted that the company added a QDIA notice to its offering a few months ago (see Newkirk Helps Plans with Notification Requirements) and expects to include fee disclosure and similar notices in the future.
Interested parties can register to attend a demonstration of the notice here.